Strategic acquisitions, new leadership, and AI-powered solutions pave a robust path towards sustainable growth.
NEW YORK, NY / ACCESSWIRE / June 7, 2023 / Recruiter.com Group, Inc. (NASDAQ:RCRT)(NASDAQ:RCRTW) (“Recruiter.com” or the “Company”), a recruiting solutions provider, today announced a comprehensive strategic reorganization designed to streamline operations and enhance stakeholder value.
Strategic Acquisition and Spin-off
The Company has announced a definitive agreement (“Agreement”) for a planned purchase of the fintech assets of GoLogiq, Inc. (OTC:GOLQ) (“GoLogiq”), a U.S.-based global innovator of fintech and consumer data analytics.The Agreement values the combined companies at approximately $105 million, with existing Recruiter.com shareholders maintaining approximately 16%. Recruiter.com will continue to be listed on the Nasdaq Capital Market and plans to change its name to a name and branding that would reflect the new fintech focus of the combined company. Concurrently, Recruiter.com’s existing operating business, assets, and liabilities are planned to be spun off into a new entity focused on artificial intelligence-related businesses in the work technology sector, publicly quoted on the OTC Market (“AI Company”). Shareholders of record as of the record date (“Shareholders”) will then hold two securities – Recruiter.com and the AI Company.
“Successfully growing from $8M revenue in 2020 to $25M in 2022, Recruiter.com now prepares to bifurcate into two distinct public entities,” stated Evan Sohn, CEO of Recruiter.com. “This strategic response allows the Nasdaq listing to converge with GoLogiq’s fintech operations, while Recruiter.com’s growth and AI-related operations transition to the OTC Markets. This significant move sets the stage for Shareholders to be a part of two promising ventures in next-generation financial and workforce technologies.”
Groundbreaking AI Technology and Strategic Initiatives
Recruiter.com has recently launched a suite of innovative products related to AI and ChatGPT. These include the Candidate Pitch software, designed to supercharge recruiters’ efficiency by instantly creating summaries of job applicants, and a unique learning experience called Recruiting with ChatGPT, which upskills recruiters in using emerging generative technologies.
Additional strategic initiatives include leveraging the engagement of the Company’s 1.1-million-member LinkedIn group, the Artificial Intelligence Exchange, a specialized forum for discussions on AI, to bring attention to the Company’s products and services.
The Company also plans to expand its Mediabistro business, already a leading career site in the media industry, into new media technologies, such as Augmented and Virtual Reality, Spatial Computing, and Gaming.
These AI and technology assets and operations, along with others, are planned to be transferred to a new subsidiary of the Company, before the subsidiary is spun out as the AI Company, which will be owned by Shareholders.
Transition in Leadership
Evan Sohn, the current CEO of Recruiter.com, has stepped down from the CEO position, effective June 2, 2023. However, he will remain active within the Company as Executive Chairman, focusing on strategic ventures including the closing of the GoLogiq business combination and the orchestrated spinout of the AI Company.
Miles Jennings, a co-founder and the current President and COO of Recruiter.com, has assume the CEO role indefinitely. Having grown the Company from inception to its Nasdaq listing, and recently spearheaded the launch of new AI initiatives, Jennings brings a wealth of experience and forward-looking leadership to his new role.
Incoming CEO Jennings remarked, “Under Evan’s guidance, Recruiter.com dramatically expanded our revenue base and established numerous beneficial partnerships. These achievements underscore our resilience and adaptability. As I prepare to take on this new role, I am enthusiastic about aligning our strategic initiatives to unlock further value for our shareholders. Our transition towards technology solutions, along with our streamlined operational footprint, should firmly position our Company as a forerunner in the AI solutions landscape, and we believe this transformation will drive sustainable, long-term shareholder value.”
About Recruiter.com Group, Inc.
Recruiter.com is an on-demand recruiting platform providing flexible talent acquisition solutions that scale from startups to the Fortune 100. With an on-tap network of thousands of recruiting professionals and recruitment marketing automation, Recruiter.com helps businesses solve today’s complex hiring challenges.
For investor information, visit https://investors.recruiter.com
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